Coinbase to store more of its $220 million USDC holdings on Base

Coinbase said that it volition store a greater magnitude of USDC connected its Base web connected March 26.

Max Branzburg, Vice President of Product, announced the alteration connected X. He wrote:

“Going forward, Coinbase is going to beryllium storing much firm and lawsuit USDC balances connected Base.“

Branzburg said the alteration volition let Coinbase to negociate and unafraid lawsuit funds with little fees and faster settlement. He added that the alteration volition not interaction idiosyncratic experience.

Branzburg besides urged different companies to travel Coinbase’s pb arsenic it moves its concern on-chain.

Coinbase’s USDC breakdown

Data from Arkham Intelligence indicates that Coinbase presently holds $220.7 cardinal of USDC successful full and stores lone 17% of it connected Base — equating to $37.4 million.

Most of its USDC holdings — 155.1 cardinal USDC, amounting to astir 70% of the full — are presently held connected Ethereum.

Coinbase stores the remaining 13% of its USDC connected assorted different chains, including $17.2 cardinal connected Arbitrum (7.8% of the total), $4.9 cardinal connected Avalanche (2.2%), $5.1 cardinal connected Optimism (2.3%), $1.0 cardinal connected Polygon (0.5%), and $38,557 connected BNB Chain (0.02%).

Coinbase USDC equilibrium crossed networks (via. Arkham Intelligence)

Shifting the balance

As of March 26, determination was $735.2 cardinal successful USDC natively connected Base, positive $73.5 cardinal of USDC bridged from Ethereum to Base.

Coinbase moving hundreds of millions of dollars successful the stablecoin to the web could noticeably displacement the chain’s wide USDC balance.

However, Coinbase’s USDC holdings are conscionable a tiny fraction of USDC’s full $32.3 cardinal marketplace cap, of which $27.2 cardinal exists connected Ethereum. As such, shifts involving Coinbase’s USDC equilibrium volition not interaction USDC’s broader Ethereum organisation successful a important way.

Coinbase antecedently had a cardinal relation successful governing USDC done the CENTRE consortium. However, successful August 2023, CENTRE was dissolved, passing governance to Circle.

Coinbase present holds a involvement successful Circle, and the 2 firms support a commercialized relationship.

The station Coinbase to store much of its $220 cardinal USDC holdings connected Base appeared archetypal connected CryptoSlate.